With the deep analysis of the above options, it is suggested that the company ought to pick the alternative 3 in order to maintain a competitive position in the long run. As the alternative 3 would allow the business to not just introduce brand-new and ingenious items in the market it would also reduce the high expenses on R&D under alternative 2 and increase the revenue margins. It would enable the business to increase its share costs also, as investors want to invest more in companies with considerable R&D spending and boost in the total worth of the business.
Action and implementation Strategy
Strategy can be executed successfully by developing particular short term as well as long term strategies. These plans could be as follows;
Short Term Plan (0-1 year)
• Under the short term plan Harnischfeger Corp should carry out different activities to implement its NHW technique efficiently. These activities are as follows;.
• Get the audit of its brand portfolio done, to analyze the core selling brands, which generate the majority of its income.
• Analyze the existing target audience as well as the market segment which is not consist of in the business's circle.
• Analyze the existing financial data to determine the amount that must be invested in the R&D and acquisitions.
• Evaluate the potential investors and their nature, i.e. do they want long term advantages (capital gain), or the desire early profits (dividend). It would let the business to understand that how much amount ought to be spent on R&D.
Mid Term Plan (1-5 years)
• Get those organizations in which the business has potential experience to deal with. Acquire most beneficial companies with a strong dedication to health, to build the customer's perceptions in the best instructions.
• Focus more on acquisitions than R&D to construct the base in the customer's mind about Harnischfeger Corp values and vision and to avoid possible danger of sunk cost.
Long Term Plan (1-10 years)
• Acquire companies with health as well as taste aspect, as the base for the Harnischfeger Corp as a company producing healthy items has been built under midterm plan and now the business could move towards taste aspect as well to understand the consumers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the substantial time to build brand-new items.